Friday, June 30, 2017

IT IS a commonplace that the persistence of an institution is due solely to the state of mind that prevails towards it, the set of terms in which men habitually think about it. So long, and only so long, as those terms are favorable, the institution lives and maintains its power; and when for any reason men generally cease thinking in those terms, it weakens and becomes inert. At one time, a certain set of terms regarding man's place in nature gave organized Christianity the power largely to control men's consciences and direct their conduct; and this power has dwindled to the point of disappearance, for no other reason than that men generally stopped thinking in those terms. The persistence of our unstable and iniquitous economic system is not due to the power of accumulated capital, the force of propaganda, or to any force or combination of forces commonly alleged as its cause. It is due solely to a certain set of terms in which men think of the opportunity to work; they regard this opportunity as something to be given.Nowhere is there any other idea about it than that the opportunity to apply labor and capital to natural resources for the production of wealth is not in any sense a right, but a concession.[1]This is all that keeps our system alive.When men cease to think in those terms, the system will disappear, and not before.

It seems pretty clear that changes in the terms of thought affecting an institution are but little advanced by direct means. They are brought about in obscure and circuitous ways, and assisted by trains of circumstance which before the fact would appear quite unrelated, and their erosive or solvent action is therefore quite unpredictable. A direct drive at effecting these changes comes as a rule to nothing, or more often than not turns out to be retarding. They are so largely the work of those unimpassioned and imperturbable agencies for which Prince de Bismarck had such vast respect - he called them theimponderabilia- that any effort which disregards them, or thrusts them violently aside, will in the long-run find them stepping in to abort its fruit.

Thus it is that what we are attempting to do in this rapid survey of the historical progress of certain ideas, is to trace the genesis of an attitude of mind, a set of terms in which now practically everyone thinks of the State; and then to consider the conclusions towards which this psychical phenomenon unmistakably points. Instead of recognizing the State as"the common enemy of all well-disposed, industrious and decent men,"the run of mankind, with rare exceptions, regards it not only as a final and indispensable entity, but also as, in the main, beneficent. The mass-man, ignorant of its history, regards its character and intentions as social rather than anti-social; and in that faith he is willing to put at its disposal an indefinite credit of knavery, mendacity and chicane, upon which its administrators may draw at will. Instead of looking upon the State's progressive absorption of social power with the repugnance and resentment that he would naturally feel towards the activities of a professional-criminal organization, he tends rather to encourage and glorify it, in the belief that he is somehow identified with the State, and that therefore, in consenting to its indefinite aggrandizement, he consents to something in which he has a share - he is,pro tanto,aggrandizing himself. Professor Ortega y Gasset analyzes this state of mind extremely well. The mass-man, he says, confronting the phenomenon of the State,

"sees it, admires it, knows that there it is. . . . Furthermore, the mass-man sees in the State an anonymous power, and feeling himself, like it, anonymous, he believes that the State is something of his own. Suppose that in the public life of a country some difficulty, conflict, or problem, presents itself, the mass-man will tend to demand that the State intervene immediately and undertake a solution directly with its immense and unassailable resources. . . . When the mass suffers any ill-fortune, or simply feels some strong appetite, its great temptation is that permanent sure possibility of obtaining everything, without effort, struggle, doubt, or risk, merely by touching a button and setting the mighty machine in motion."

It is the genesis of this attitude, this state of mind, and the conclusions which inexorably follow from its predominance, that we are attempting to get at through our present survey. These conclusions may perhaps be briefly forecast here, in order that the reader who is for any reason indisposed to entertain them may take warning of them at this point, and close the book.

The unquestioning, determined, even truculent maintenance of the attitude which Professor Ortega y Gasset so admirably describes, is obviously the life and strength of the State; and obviously too, it is now so inveterate and so widespread - one may freely call it universal - that no direct effort could overcome its inveteracy or modify it, and least of all hope to enlighten it. This attitude can only be sapped and mined by uncountable generations of experience, in a course marked by recurrent calamity of a most appalling character. When once the predominance of this attitude in any given civilization has become inveterate, as so plainly it has become in the civilization of America, all that can be done is to leave it to work its own way out to its appointed end. The philosophic historian may content himself with pointing out and clearly elucidating its consequences, as Professor Ortega y Gasset has done, aware that after this there is no more that one can do.

"The result of this tendency," he says, "will be fatal. Spontaneous social action will be broken up over and over again by State intervention; no new seed will be able to fructify.[2]Society will have to live for the State, man for the governmental machine. And as after all it is only a machine, whose existence and maintenance depend on the vital supports around it,[3]the State, after sucking out the very marrow of society, will be left bloodless, a skeleton, dead with that rusty death of machinery, more gruesome than the death of a living organism. Such was the lamentable fate of ancient civilization."

II

The revolution of 1776-1781 converted thirteen provinces, practically as they stood, into thirteen autonomous political units, completely independent, and they so continued until 1789, formally held together as a sort of league, by the Articles of Confederation. For our purposes, the point to be remarked about this eight-year period, 1781- 1789, is that administration of the political means was not centralized in the federation, but in the several units of which the federation was composed. The federal assembly, or congress, was hardly more than a deliberative body of delegates appointed by the autonomous units. It had no taxing-power, and no coercive power. It could not command funds for any enterprise common to the federation, even for war; all it could do was to apportion the sum needed, in the hope that each unit would meet its quota. There was no coercive federal authority over these matters, or over any matters; the sovereignty of each of the thirteen federated units was complete.

Thus the central body of this loose association of sovereignties had nothing to say about the distribution of the political means. This authority was vested in the several component units. Each unit had absolute jurisdiction over its territorial basis, and could partition it as it saw fit, and could maintain any system of land-tenure that it chose to establish. [4] Each unit set up its own trade-regulations. Each unit levied its own tariffs, one against another, in behalf of its own chosen beneficiaries. Each manufactured its own currency, and might manipulate it as it liked, for the benefit of such individuals or economic groups as were able to get effective access to the local legislature. Each managed its own system of bounties, concessions, subsidies, franchises, and exercised it with a view to whatever private interest its legislature might be influenced to promote. In short, the whole mechanism of the political means was non-national.

The federation was not in any sense a State; the State was not one, but thirteen. Within each unit, therefore, as soon as the war was over, there began at once a general scramble for access to the political means. It must never be forgotten that in each unit society was fluid; this access was available to anyone gifted with the peculiar sagacity and resolution necessary to get at it. Hence one economic interest after another brought pressure of influence to bear on the local legislatures, until the economic hand of every unit was against every other, and the hand of every other was against itself. The principle of"protection,"which as we have seen was already well understood, was carried to lengths precisely comparable with those to which it is carried in international commerce today, and for precisely the same primary purpose the exploitation, or in plain termsthe robbery, of the domestic consumer. Mr. Beard remarks that the legislature of New York, for example, pressed the principle which governs tariff-making to the point of levying duties on firewood brought in from Connecticut and on cabbages from New Jersey - a fairly close parallel with theoctroithat one still encounters at the gates of French towns.

The primary monopoly, fundamental to all others - the monopoly of economic rent - was sought with redoubled eagerness.[5]The territorial basis of each unit now included the vast holdings confiscated from British owners, and the bar erected by the British State's proclamation of 1763 against the appropriation of Western lands was now removed. Professor Sakolski observes dryly that "the early land-lust which the colonists inherited from their European forebears was not diminished by the democratic spirit of the revolutionary fathers."Indeed not!Land-grants were sought as assiduously from local legislatures as they had been in earlier days from the Stuart dynasty and from colonial governors, and the mania of land-jobbing ran apace with the mania of land-grabbing.[6] Among the men most actively interested in these pursuits were those whom we have already seen identified with them in pre-revolutionary days, such as the two Morrises, Knox, Pickering, James Wilson and Patrick Henry; and with their names appear those of Duer, Bingham, McKean, Willing, Greenleaf, Nicholson, Aaron Burr, Low, Macomb, Wadsworth, Remsen, Constable, Pierrepont, and others which now are less well remembered.

There is probably no need to follow out the rather repulsive trail of effort after other modes of the political means. What we have said about the foregoing two modes - tariffs and rental-value monopoly - is doubtless enough to illustrate satisfactorily the spirit and attitude of mind towards the State during the eight years immediately following the revolution. The whole story of insensate scuffle for State-created economic advantage is not especially animating, nor is it essential to our purposes. Such as it is, it may be read in detail elsewhere. All that interests us is to observe that during the eight years of federation, the principles of government set forth by Paineand by the Declaration continued in utter abeyance. Not only did the philosophy of natural rights and popular sovereignty [7] remainas completely out of consideration as when Mr. Jefferson first lamented its disappearance, but the idea of government as a social institution based on this philosophy was likewise unconsidered. No one thought of a political organization as instituted "to secure these rights"by processes of purely negative intervention - instituted, that is, with no other end in view than the maintenance of "freedom and security."The history of the eight-year period of federation shows no trace whatever of any idea of political organization other than the State-idea. No one regarded this organization otherwise than as the organization of the political means, an all-powerful engine which should stand permanently ready and available for theirresistible promotion of this-or-that set of economic interests, and theirremediable disservice of others; according as whichever set, by whatever course of strategy,might succeed in obtaining command of its machinery.

III

It may be repeated that while State power was well centralized under the federation, it was not centralized in the federation, but in the federated unit. For various reasons, some of them plausible, many leading citizens, especially in the more northerly units, found this distribution of power unsatisfactory; and a considerable compact group of economic interests which stood to profit by a redistribution naturally made the most of these reasons. It is quite certain that dissatisfaction with the existing arrangement was not general, for when the redistribution took place in 1789, it was effected with great difficulty and only through a coup d'+tat,organized by methods which if employed in any other field than that of politics, would be put down at once as not only daring, but unscrupulousanddishonorable.

The situation, in a word, was that American economic interests had fallen into two grand divisions, the special interests in each having made common cause with a view to capturing control of the political means. One division comprised the speculating, industrial-commercial and creditor interests,with their natural allies of the bar and bench, the pulpit and the press.The other comprised chiefly the farmers and artisans and the debtor class generally. From the first, these two grand divisions were colliding briskly here and there in the several units, the most serious collision occurring over the terms of the Massachusetts constitution of 1780.[8]The State in each of the thirteen units was a class-State, as every State known to history has been; and the work of maneuvering it in its function of enabling the economic exploitation of one class by another went steadily on.

General conditions under the Articles of Confederation were pretty good. The people had made a creditable recovery from the dislocations and disturbances due to the revolution, and there was a very decent prospect that Mr. Jefferson's idea of a political organization, which should be national in foreign affairs and non-national in domestic affairs might be found continuously practicable. Some tinkering with the Articles seemed necessary - in fact, it was expected - but nothing that would transform or seriously impair the general scheme. The chief trouble was with the federation's weakness in view of the chance of war, and in respect of debts due to foreign creditors. The Articles, however, carried provision for their own amendment, and for anything one can see, such amendment as the general scheme made necessary was quite feasible. In fact, when suggestions of revision arose, as they did almost immediately, nothing else appears to have been contemplated.

But the general scheme itself was as a whole objectionable to the interests grouped in the first grand division. The grounds of their dissatisfaction are obvious enough. When one bears in mind the vast prospect of the continent, one need use but little imagination to perceive that the national scheme was by far the more congenial to those interests, because it enabled an ever-closer centralization of control over the political means. For instance, leaving aside the advantage of having but one central tariff-making body to chaffer with, instead of twelve, any industrialist could see the great primary advantage of being able to extend his exploiting operations over a nation-wide free-trade area walled-in by a general tariff; the closer the centralization, the larger the exploitable area. Any speculator in rental-values would be quick to see the advantage of bringing this form of opportunity under unified control.[9] Any speculator in depreciated public securities would be strongly for a system that could offer him the use of the political means to bring back their face-value.[10] Any shipowner or foreign trader would be quick to see that his bread was buttered on the side of a national State which, if properly approached, might lend him the use of the political means by way of a subsidy, or would be able to back up some profitable but dubious free booting enterprise with"diplomatic representations"or with reprisals.

The farmers and the debtor class in general, on the other hand, were not interested in these considerations, but were strongly for letting things stay, for the most part, as they stood. Preponderance in the local legislatures gave them satisfactory control of the political means, which they could and did use to the prejudice of the creditor class, and they did not care to be disturbed in their preponderance. They were agreeable to such modification of the Articles as should work out short of this, but not to setting up a national[11] replica of the British merchant-State, which they perceived was precisely what the classes grouped in the opposing grand division wished to do. These classes aimed at bringing in the British system of economics, politics and judicial control, on a nation-wide scale; and the interests grouped in the second division saw that what this would really come to was a shifting of the incidence of economic exploitation upon themselves. They had an impressive object-lesson in the immediate shift that took place in Massachusetts after the adoption of John Adams's local constitution of 1780. They naturally did not care to see this sort of thing put into operation on a nation-wide scale, and they therefore looked with extreme disfavor upon any bait put forth for amending the Articles out of existence. When Hamilton, in 1780, objected to the Articles in the form in which they were proposed for adoption, and proposed the calling of a constitutional convention instead, they turned the cold shoulder; as they did again to Washington's letter to the local governors three years later, in which he adverted to the need of a strong coercive central authority.

Finally, however, a constitutional convention was assembled, on the distinct understanding that it should do no more than revise the Articles in such a way, as Hamilton cleverly phrased it, as to make them"adequate to the exigencies of the nation," and on the further understanding that all the thirteen units should assent to the amendments before they went into effect; in short, that the method of amendment provided by the Articles themselves should be followed. Neither understanding was fulfilled. The convention was made up wholly of men representing the economic interests of the first division. The great majority of them, possibly as many as four-fifths, were public creditors; one-third were land-speculators; some were money-lenders; one-fifth were industrialists, traders, shippers; and many of them were lawyers. They planned and executed acoup d'+tat,simply tossing the Articles of Confederation into the waste-basket, and drafting a constitutionde novo,with the audacious provision that it should go into effect when ratified by nine units instead of by all thirteen. Moreover, with like audacity, they provided that the document should not be submitted either to the Congress or to the local legislatures, but that it should go direct to a popular vote![12]

The unscrupulous methods employed in securing ratification need not be dwelt on here.[13] We are not indeed concerned with the moral quality of any of the proceedings by which the constitution was brought into being, but only with showing their instrumentality in encouraging a definite general idea of the State and its functions, and a consequent general attitude towards the State.We therefore go on to observe that in order to secure ratification by even the nine necessary units, the document had to conform to certain very exacting and difficult requirements. The political structure which it contemplated had to be republican in form, yet capable of resisting what Gerry unctuously called "the excess of democracy,"and what Randolph termed its "turbulence and follies."The task of the delegates was precisely analogous to that of the earlier architects who had designed the structure of the British merchant-State, with its system of economics, politics and judicial control; they had to contrive something that could pass muster as showing a good semblance of popular sovereignty, without the reality. Madison defined their task explicitly in saying that the convention's purpose was"to secure the public good and private rights against the danger of such a faction [i.e., a democratic faction], and at the same time preserve the spirit and form of popular government."

Under the circumstances, this was a tremendously large order; and the constitution emerged, as it was bound to do, as a compromise- document, or as Mr. Beard puts it very precisely, "a mosaic of second choices,"which really satisfied neither of the two opposing sets of interests. It was not strong and definite enough in either direction to please anybody. In particular, the interests composing the first division, led by Alexander Hamilton, saw that it was not sufficient of itself to fix them in anything like a permanent impregnable position to exploit continuously the groups composing the second division. To do this - to establish the degree of centralization requisite to their purposes - certain lines of administrative management must be laid down, which, once established, would be permanent. The further task therefore, in Madison's phrase, was to"administration"the constitution into such absolutist modes as would secure economic supremacy, by a free use of the political means, to the groups which made up the first division.

This was accordingly done. For the first ten years of its existence the constitution remained in the hands of its makers for administration in directions most favorable to their interests. For an accurate understanding of the newly-erected system's economic tendencies, too much stress can not be laid on the fact that for these ten critical years"the machinery of economic and political power was mainly directed by the men who had conceived and established it."[14]Washington, who had been chairman of the convention, was elected President. Nearly half the Senate was made up of men who had been delegates, and the House of Representatives was largely made up of men who had to do with the drafting or ratifying of the constitution. Hamilton, Randolph and Knox, who were active in promoting the document, filled three of the four positions in the Cabinet; and all the federal judgeships, without a single exception, were filled by men who had a hand in the business of drafting, or of ratification, or both. Of all the legislative measures enacted to implement the new constitution, the one best calculated to ensure a rapid and steady progress in the centralization of political power was the judiciary Act of 1789.[15] This measure created a federal supreme court of six members (subsequently enlarged to nine), and a federal district court in each state, with its own complete personnel, and a complete apparatus for enforcing its decrees. The Act established federal oversight of state legislation by the familiar device of"interpretation", whereby the Supreme Court might nullify state legislative or judicial action which for any reason it saw fit to regard as unconstitutional. One feature of the Act which for our purposes is most noteworthy is that it made the tenure of all these federal judgeships appointive, not elective, and for life; thus marking almost the farthest conceivable departure from the doctrine of popular sovereignty.

The first chief justice was John Jay,"the learned and gentle Jay," as Beveridge calls him in his excellent biography of Marshall. A man of superb integrity, he was far above doing anything whatever in behalf of the accepted principle that est boni judicis ampliare jurisdictionem.Ellsworth, who followed him, also did nothing. The succession, however, after Jay had declined a reappointment, then fell to John Marshall, who, in addition to the control established by the judiciary Act over the state legislative and judicial authority, arbitrarily extended judicial control over both the legislative and executive branches of the federal authority;[16] thus effecting as complete and convenient a centralization of power as the various interests concerned in framing the constitution could reasonably have contemplated.[17]

We may now see from this necessarily brief survey, which anyone may amplify and particularize at his pleasure, what the circumstances were which rooted a certain definite idea of the State still deeper in the general consciousness. That idea was precisely the same in the constitutional period as that which we have seen prevailing in the two periods already examined - the colonial period, and the eight-year period following the revolution. Nowhere in the history of the constitutional period do we find the faintest suggestion of the Declaration's doctrine of natural rights; and we find its doctrine of popular sovereignty not only continuing in abeyance, but constitutionally estopped from ever reappearing. Nowhere do we find a trace of the Declaration's theory of government; on the contrary, we find it expressly repudiated. The new political mechanism was a faithful replica of the old disestablished British model, but so far improved and strengthened as to be incomparably more close-working and efficient, and hence presenting incomparably more attractive possibilities of capture and control. By consequence, therefore, we find more firmly implanted than ever the same general idea of the State that we have observed as prevailing hitherto - the idea of an organization of the political means, an irresponsible and all-powerful agency standing always ready to be put into use for the service of one set of economic interests as against another.

IV

Out of this idea proceeded what we know as the"party system"of political management, which has been in effect ever since. Our purposes do not require that we examine its history in close detail for evidence that it has been from the beginning a purely bipartisan system, since this is now a matter of fairly common acceptance. In his second term Mr. Jefferson discovered the tendency towards bipartisanship,[18] and was both dismayed and puzzled by it. I have elsewhere[19] remarked his curious inability to understand how the cohesive power of public plunderworks straight towards political bipartisanship. In 1823, finding some who called themselves Republicans favoring the Federalist policy of centralization, he spoke of them in a rather bewildered way as"pseudo-Republicans, but real Federalists." But most naturally any Republican who saw a chance of profiting by the political means would retain the name, and at the same time resist any tendency within the party to impair the general system which held out such a prospect.[20] In this way bipartisanship arises. Party designations become purely nominal, and the stated issues between parties become progressively trivial; and both are more and more openly kept up with no other object than to cover from scrutiny the essential identity of purpose in both parties.

Thus the party system at once became in effect an elaborate system of fetiches, which, in order to be made as impressive as possible, were chiefly moulded up around the constitution, and were put on show as "constitutional principles."The history of the whole post-constitutional period, from 1789 to the present day, is an instructive and cynical exhibit of the fate of these fetiches when they encounter the one only actual principle of party action the principle of keeping open the channels of access to the political means. When the fetich of "strict construction," for example, has collided with this principle, it has invariably gone by the board, the party that maintained it simply changing sides. The anti- Federalist party took office in 1800 as the party of strict construction; yet, once in office, it played ducks and drakes with the constitution, in behalf of the special economic interests that it represented.[21]The Federalists were nominally for loose construction, yet they fought bitterly every one of the opposing party's loose-constructionist measures - the embargo, the protective tariff and the national bank. They were constitutional nationalists of the deepest dye, as we have seen; yet in their center and stronghold, New England, they held the threat of secession over the country throughout the period of what they harshly called"Mr. Madison's war,"the War of 1812 , which was in fact a purely imperialistic adventure after annexation of Floridan and Canadian territory, in behalf of stiffening agrarian control of the political means; but when the planting interests of the South made the same threat in 1861, they became fervid nationalists again. Such exhibitions of pure fetichism, always cynical in their transparent candor, make up the history of the party system. Theirreductio ad absurdum is now seen as perhaps complete - one can not see how it could go further - in the attitude of the Democratic party towards its historical principles of state sovereignty and strict construction. A fair match for this, however, is found in a speech made the other day to a group of exporting and importing interests by the mayor of New York - always known as a Republican in politics - advocating the hoary Democratic doctrine of a low tariff!

Throughout our post-constitutional period there is not on record, as far as I know, a single instance of party adherence to a fixed principle,quaprinciple, or to a political theory,quatheory. Indeed, the very cartoons on the subject show how widely it has come to be accepted that party platforms, with their cant of"issues," are so much sheer Quackery, and that campaign-promises are merely another name forthimblerigging.The workaday practice of politics has been invariably opportunist, or in other words, invariably conformable to the primary function of the State; and it is largely for this reason that the State's service exerts its most powerful attraction upon anextremely low and sharp-set type of individual.[22]

The maintenance of this system of fetiches, however, gives great enhancement to the prevailing general view of the State. In that view, the State is made to appear as somehow deeply and disinterestedly concerned with great principles of action; and hence, in addition to its prestige as a pseudo-social institution, it takes on the prestige of a kind of moral authority, thus disposing of the last vestige of the doctrine of natural rights by overspreading it heavily with the quicklime of legalism;whatever is State-sanctioned is right.This double prestige is assiduously inflated by many agencies; by a State-controlled system of education, by a State-dazzled pulpit, by a meretricious press, by a continuous kaleidoscopic display of State pomp, panoply and circumstance, and by all the innumerable devices of electioneering. These last invariably take their stand on the foundation of some imposing principle, as witness the agonized cry now going up here and there in the land, for a "return to the constitution." All this is simply "the interested clamors and sophistry," which means no more and no less than it meant when the constitution was not yet five years old, and Fisher Ames was observing contemptuously that of all the legislative measures and proposals which were on the carpet at the time, he scarce knew one that had not raised this same cry, "not excepting a motion for adjournment."

In fact, such popular terms of electioneering appeal are uniformly and notoriously what Jeremy Bentham called impostor-terms, and their use invariably marks one thing and one only; it marks a state of apprehension, either fearful or expectant, as the case may be, concerning access to the political means. As we are seeing at the moment, once let this access come under threat of straitening or stoppage, the menaced interests immediately trot out the spavined, glandered hobby of "state rights" or "a return to the constitution,"and put it through its galvanic movements. Let the incidence of exploitation show the first sign of shifting, and we hear at once from one source of"interested clamours and sophistry"that "democracy"is in danger, and that the unparalleled excellence's of our civilization have come about solely through a policy of "rugged individualism," carried out under terms of "free competition"; while from another source we hear that the enormities oflaissez-faire have ground the faces of the poor, and obstructed entrance into the More Abundant Life.[23]

The general upshot of all this is that we see politicians of all schools and stripes behaving with the obscene depravity of degenerate children; like the loose-footed gangs that infest the railway-yards and purlieus of gas-houses, each group tries to circumvent another with respect to the fruit accruing to acts of public mischief. In other words, we see them behaving in a strictly historical manner. Professor Laski's elaborate moral distinction between the State and officialdom is devoid of foundation. The State is not, as he would have it, a social institution administered in an anti-social way. It is an anti-social institution, administered in the only way an anti-social institution can be administered, and by the kind of person who, in the nature of things, is best adapted to such service.

CHAPTER 6

I

SUCH has been the course of our experience from the beginning, and such are the terms in which its stark uniformity has led us to think of the State. This uniformity also goes far to account for the development of a peculiar moral enervation with regard to the State, exactly parallel to that which prevailed with regard to the Church in the Middle Ages.[1] The Church controlled the distribution of certain privileges and immunities, and if one approached it properly, one might get the benefit of them. It stood as something to be run to in any kind of emergency, temporal or spiritual; for the satisfaction of ambition and cupidity, as well as for the more tenuous assurances it held out against various forms of fear, doubt and sorrow. As long as this was so, the anomalies presented by its self-aggrandizement were more or less contentedly acquiesced in; and thus a chronic moral enervation, too negative to be called broadly cynical, was developed towards its interventions and exaction's, and towards the vast overbuilding of its material structure.[2]

A like enervation pervades our society with respect to the State, and for like reasons. It affects especially those who take the State's pretensions at face value and regard it as a social institution whose policies of continuous intervention are wholesome and necessary; and it also affects the great majority who have no clear idea of the State, but merely accept it as something that exists, and never think about it except when some intervention bears unfavorably upon their interests. There is little need to dwell upon the amount of aid thus given to the State's progress in self-aggrandizement, or to show in detail or by illustration the courses by which this spiritlessness promotes the State's steady policy of intervention, exaction and overbuilding.[3]

Every intervention by the State enables another, and this in turn another, and so on indefinitely; and the State stands ever ready and eager to make them, often on its own motion, often again wangling plausibility for them through the specious suggestion of interested persons. Sometimes the matter at issue is in its nature simple, socially necessary, and devoid of any character that would bring it into the purview of politics.[4] For convenience, however, complications are erected on it; then presently someone sees that these complications are exploitable, and proceeds to exploit them; then another, and another, until the rivalries and collisions of interest thus generated issue in a more or less general disorder. When this takes place, the logical thing, obviously, is to recede, and let the disorder be settled in the slower and more troublesome way, but the only effective way, through the operation of natural laws. But in such circumstances recession is never for a moment thought of; the suggestion would be put down as sheer lunacy. Instead, the interests unfavorably affected - little aware, perhaps, how much worse the cure is than the disease, or at any rate little caring - immediately call on the State to cut in arbitrarily between cause and effect, and clear up the disorder out of hand.[5]The State then intervenes by imposing another set of complications upon the first; these in turn are found exploitable, another demand arises, another set of complications, still more intricate, is erected upon the first two;[6] and the same sequence is gone through again and again until the recurrent disorder becomes acute enough to open the way for a sharking political adventurer to come forward and, always alleging "necessity, the tyrant's plea,"to organize acoup d'd'état.[7]

But more often the basic matter at issue represents an original intervention of the State, an original allotment of the political means. Each of these allotments, as we have seen, is a charter ofhighwaymanry, a license to appropriate the labor-products of others without compensation. Therefore it is in the nature of things that when such a license is issued, the State must follow it up with an indefinite series of interventions to systematize and"regulate"its use. The State's endless progressive encroachments that are recorded in the history of the tariff, their impudent and disgusting particularity, and the prodigious amount of apparatus necessary to give them effect, furnish a conspicuous case in point. Another is furnished by the history of our railway-regulation. It is nowadays the fashion, even among those who ought to know better, to hold"rugged individualism"and laissez-faireresponsible for the riot of stock-watering, rebates, rate-cutting, fraudulent bankruptcies, and the like, which prevailed in our railway-practice after the Civil War, but they had no more to do with it than they have with the procession of the equinoxes. The fact is that our railways, with few exceptions, did not grow up in response to any actual economic demand. They were speculative enterprises enabled by State intervention, by allotment of the political means in the form of land-grants and subsidies; and of all the evils alleged against our railway-practice, there is not one but what is directly traceable to this primary intervention. [8]

So it is with shipping. There was no valid economic demand for adventure in the carrying trade; in fact, every sound economic consideration was dead against it. It was entered upon through State intervention, instigated by shipbuilders and their allied interests; and the mess engendered by their manipulation of the political means is now the ground of demand for further and further coercive intervention. So it is with what, by an unconscionable stretch of language, goes by the name of farming.[9] There are very few troubles so far heard of as normally besetting this form of enterprise but what are directly traceable to the State's primary intervention in establishing a system of land-tenure which gives a monopoly-right over rental-values as well as over use-values; and as long as that system is in force, one coercive intervention after another is bound to take place in support of it.[10]

II

Thus we see how ignorance and delusion concerning the nature of the State combine with extreme moral debility and myopic self-interest - what Ernest Renan so well calls la bassesse de l'homme intéressé- to enable the steadily accelerated conversion of social power into State power that has gone on from the beginning of our political independence. It is a curious anomaly. State power has an unbroken record of inability to do anything efficiently, economically, disinterestedly or honestly; yet when the slightest dissatisfaction arises over any exercise of social power, the aid of the agent least qualified to give aid is immediately called for. Does social power mismanage banking-practice in this-or-that special instance - then let the State, which never has shown itself able to keep its own finances from sinking promptly into the slough of misfeasance, wastefulness and corruption, intervene to"supervise"or "regulate"the whole body of banking-practice, or even take it over entire. Does social power, in this-or-that case, bungle the business of railway-management - then let the State, which has bungled every business it has ever undertaken, intervene and put its hand to the business of "regulating"railway-operation. Does social power now and then send out an unseaworthy ship to disaster - then let the State, which inspected and passed the Morro Castle, be given a freer swing at controlling the routine of the shipping trade. Does social power here and there exercise a grinding monopoly over the generation and distribution of electric current - then let the State, which allots and maintains monopoly, come in and intervene with a general scheme of price-fixing which works more unforeseen hardships than it heals, or else let it go into direct competition; or, as the collectivists urge, let it take over the monopoly bodily."Ever since society has existed,"says Herbert Spencer, "disappointment has been preaching, 'Put not your trust in legislation'; and yet the trust in legislation seems hardly diminished."

But it may be asked where we are to go for relief from the misuses of social power, if not to the State. What other recourse have we? Admitting that under our existing mode of political organization we have none, it must still be pointed out that this question rests on the old inveterate misapprehension of the State's nature, presuming that the State is a social institution, whereas it is an anti-social institution; that is to say, the question rests on an absurdity.[11] It is certainly true that the business of government, in maintaining"freedom and security,"and"to secure these rights,"is to make a recourse to justice cost less, easy and informal; but the State, on the contrary, is primarily concerned with injustice, and its function is to maintain a regime of injustice; hence, as we see daily, its disposition is to put justice as far as possible out of reach, and to make the effort after justice as costly and difficult as it can. One may put it in a word that while government is by its nature concerned with the administration of justice, the State is by its nature concerned with the administration of law - law, which the State itself manufactures for the service of its own primary ends. Therefore an appeal to the State,based on the ground of justice,is futile in any circumstances, [12] for whatever action the State might take in response to it would be conditioned by the State's own paramount interest, and would hence be bound to result, as we see such action invariably resulting, in as great injustice as that which it pretends to correct, or as a rule, greater.The question thus presumes, in short, that the State may on occasion be persuaded to act out of character; and this is levity.

But passing on from this special view of the question, and regarding it in a more general way, we see that what it actually amounts to is a plea for arbitrary interference with the order of nature, an arbitrary cutting-in to avert the penalty which nature lays on any and every form of error, whether willful or ignorant, voluntary or involuntary; and no attempt at this has ever yet failed to cost more than it came to. Any contravention of natural law, any tampering with the natural order of things, must have its consequences, and the only recourse for escaping them is such as entails worse consequences. Nature recks nothing of intentions, good or bad; the one thing she will not tolerate is disorder, and she is very particular about getting her full pay for any attempt to create disorder. She gets it sometimes by very indirect methods, often by very roundabout and unforeseen ways, but she always gets it. "Things and actions are what they are, and the consequences of them will be what they will be; why, then, should we desire to be deceived?"It would seem that our civilization is greatly given to this infantile addiction - greatly given to persuading itself that it can find some means which nature will tolerate, whereby we may eat our cake and have it; and it strongly resents the stubborn fact that there is no such means.[13]

It will be clear to anyone who takes the trouble to think the matter through, that under a regime of natural order, that is to say under government, which makes no positive interventions whatever on the individual, but only negative interventions in behalf of simple justice - not law, but justice - misuses of social power would be effectively corrected; whereas we know by interminable experience that the State's positive interventions do not correct them. Under a regime of actual individualism, actually free competition, actuallaissez-faire - a regime which, as we have seen, can not possibly coexist with the State - a serious or continuous misuse of social power would be virtually impracticable.[14]

I shall not take up space with amplifying these statements because, in the first place, this has already been thoroughly done by Spencer, in his essays entitled The Man versus the State; and, in the second place, because I wish above all things to avoid the appearance of suggesting that a regime such as these statements contemplate is practicable, or that I am ever so covertly encouraging anyone to dwell on the thought of such a regime. Perhaps, some aeons hence, if the planet remains so long habitable, the benefits accruing to conquest and confiscation may be adjudged over-costly; the State may in consequence be superseded by government, the political means suppressed, and the fetiches which give nationalism and patriotism their present execrable character may be broken down. But the remoteness and uncertainty of this prospect makes any thought of it fatuous, and any concern with it futile. Some rough measure of its remoteness may perhaps be gained by estimating the growing strength of the forces at work against it. Ignorance and error, which the State's prestige steadily deepens, are against it;la bassesse de l'homme intéressé, steadily pushing its purposes to greater lengths of turpitude, is against it; moral enervation, steadily proceeding to the point of complete insensitiveness, is against it. What combination of influences more powerful than this can one imagine, and what can one imagine possible to be done in the face of such a combination?To the sum of these, which may be called spiritual influences, may be added the overweening physical strength of the State, which is ready to be called into action at once against any affront to the State's prestige. Few realize how enormously and how rapidly in recent years the State has everywhere built up its apparatus of armies and police forces. The State has thoroughly learned the lesson laid down by Septimius Severus, on his death-bed. "Stick together,"he said to his successors, "pay the soldiers, and don't worry about anything else."It is now known to every intelligent person that there can be no such thing as a revolution as long as this advice is followed; in fact, there has been no revolution in the modem world since 1848 - every so-called revolution has been merely a coupd'état. 15All talk of the possibility of a revolution in America is in part perhaps ignorant, but mostly dishonest; it is merely "the interested clamours and sophistry"of persons who have some sort of ax to grind. Even Lenin acknowledged that a revolution is impossible anywhere until the military and police forces become disaffected; and the last place to look for that, probably, is here. We have all seen demonstrations of a disarmed populace, and local riots carried on with primitive weapons, and we have also seen how they ended, as in Homestead, Chicago, and the mining districts of West Virginia, for instance. Coxey's Army marched on Washington - and it kept off the grass.

Taking the sum of the State's physical strength, with the force of powerful spiritual influences behind it, one asks again, what can be done against the State's progress in self-aggrandizement? Simply nothing. So far from encouraging any hopeful contemplation of the unattainable, the student of civilized man will offer no conclusion but that nothing can be done. He can regard the course of our civilization only as he would regard the course of a man in a rowboat on the lower reaches of the Niagara - as an instance of Nature's unconquerable intolerance of disorder, and in the end, an example of the penalty which she puts upon any attempt at interference with order. Our civilization may at the outset have taken its chances with the current of Statism either ignorantly or deliberately; it makes no difference. Nature cares nothing whatever about motive or intention; she cares only for order, and looks to see only that her repugnance to disorder shall be vindicated, and that her concern with the regular orderly sequences of things and actions shall be upheld in the outcome. Emerson, in one of his great moments of inspiration, personified cause and effect as "the chancellors of God"; and invariable experience testifies that the attempt to nullify or divert or in any wise break in upon their sequences must have its own reward.

"Such,"says Professor Ortega y Gasset,"was the lamentable fate of ancient civilization."A dozen empires have already finished the course that ours began three centuries ago. The lion and the lizard keep the vestiges that attest their passage upon earth, vestiges of cities which in their day were as proud and powerful as ours - Tadmor, Persepolis, Luxor, Baalbek - some of them indeed forgotten for thousands of years and brought to memory again only by the excavator, like those of the Mayas, and those buried in the sands of the Gobi. The sites which now bear Narbonne and Marseilles have borne the habitat of four successive civilizations, each of them, as St. James says, even as a vapor which appeareth for a little time and then vanisheth away. The course of all these civilizations was the same. Conquest, confiscation, the erection of the State; then the sequences which we have traced in the course of our own civilization; then the shock of some irruption which the social structure was too far weakened to resist, and from which it was left too disorganized to recover; and then the end.Our pride resents the thought that the great highways of New England will one day lie deep under layers of encroaching vegetation, as the more substantial Roman roads of Old England have lain for generations; and that only a group of heavily overgrown hillocks will be left to attract the archaeologist's eye to the hidden débris of our collapsed skyscrapers. Yet it is to just this, we know, that our civilization will come; and we know it because we know that there never has been, never is, and never will be, any disorder in nature - because we know that things and actions are what they are, and the consequences of them will be what they will be.

But there is no need to dwell lugubriously upon the probable circumstances of a future so far distant.What we and our more nearly immediate descendants shall see is a steady progress in collectivism running off into a military despotism of a severe type. Closer centralization; a steadily growing bureaucracy; State power and faith in State power increasing, social power and faith in social power diminishing; the State absorbing a continually larger proportion of the national income; production languishing, the State in consequence taking over one"essential industry"after another, managing them with ever-increasing corruption, inefficiency and prodigality, and finally resorting to a system of forced labour. Then at some point in this progress, a collision of State interests, at least as general and as violent as that which occurred in 1914, will result in an industrial and financial dislocation too severe for the asthenic social structure to bear; and from this the State will be left to"the rusty death of machinery,"and the casual anonymous forces of dissolution will be supreme.

III

But it may quite properly be asked, if we in common with the rest of the Western world are so far gone in Statism as to make this outcome inevitable, what is the use of a book which merely shows that it is inevitable? By its own hypothesis the book is useless. Upon the very evidence it offers, no one's political opinions are likely to be changed by it, no one's practical attitude towards the State will be modified by it; and if they were, according to the book's own premises, what good could it do?Assuredly I do not expect this book to change anyone's political opinions, for it is not meant to do that. One or two, perhaps, here and there, may be moved to look a little into the subject-matter on their own account, and thus perhaps their opinions would undergo some slight loosening - or some constriction - but this is the very most that would happen. In general, too, I would be the first to acknowledge that no results of the kind which we agree to call practical could accrue to the credit of a book of this order, were it a hundred times as cogent as this one - no results, that is, that would in the least retard the State's progress in self-aggrandizement and thus modify the consequences of the State's course. There are two reasons, however, one general and one special, why the publication of such a book is admissible.The general reason is that when in any department of thought a person has, or thinks he has, a view of the plain intelligible order of things, it is proper that he should record that view publicly, with no thought whatever of the practical consequences, or lack of consequences, likely to ensue upon his so doing. He might indeed be thought bound to do this as a matter of abstract duty; not to crusade or propagandize for his view or seek to impose it upon anyone - far from that! - not to concern himself at all with either its acceptance or its disallowance; but merely to record it. This I say, might be thought his duty to the natural truth of things, but it is at all events his right; it is admissible.The special reason has to do with the fact that in every civilization, however generally prosaic, however addicted to the short-time point of view on human affairs, there are always certain alien spirits who, while outwardly conforming to the requirements of the civilization around them, still keep a disinterested regard for the plain intelligible law of things, irrespective of any practical end. They have an intellectual curiosity, sometimes touched with emotion, concerning the august order of nature; they are impressed by the contemplation of it, and like to know as much about it as they can, even in circumstances where its operation is ever so manifestly unfavorable to their best hopes and wishes. For these,a work like this, however in the current sense impractical, is not quite useless; and those of them it reaches will be aware that for such as themselves, and such only, it was written.

[1] Consider, for example, the present situation. Our natural resources, while much depleted, are still great; our population is very thin, running something like twenty or twenty-five to the square mile; and some millions of this population are at the moment "unemployed," and likely to remain so because no one will or can "give them work." The point is not that men generally submit to this state of things, or that they accept it as inevitable, but that they see nothing irregular or anomalous about it because of their fixed idea that work is something to be given.

[2] The present paralysis of production, for example, is due solely to State intervention, and uncertainty concerning further intervention.

[3] It seems to be very imperfectly understood that the cost of State intervention must be paid out of production, this being the only source from which any payment for anything can be derived. Intervention retards production; then the resulting stringency and inconvenience enable further intervention, which in turn still further retards production; and this process goes on until, as in Rome, in the third century, production ceases entirely, and the source of payment dries up.

[4] As a matter of fact, all thirteen units merely continued the system that had existed throughout the colonial period - the system which gave the beneficiary a monopoly of rental-values as well as a monopoly of use-values. No other system was ever known in America, except in the short-lived state of Deseret, under the Mormon polity.

[6] Mr. Sakolski very justly remarks that the mania for land-jobbing was stimulated by the action of the new units in offering lands by way of settlement of their public debts, which led to extensive gambling in the various issues of "land-warrants." The list of eminent names involved in this enterprise includes Wilson C. Nicholas, who later became governor of Virginia; "Light Horse Harry" Lee, father of the great Confederate commander; General John Preston, of Smithfield; and George Taylor, brother-in-law of Chief Justice Marshall. Lee, Preston and Nicholas were prosecuted at the instance of some Connecticut speculators, for a transaction alleged as fraudulent; Lee was arrested in Boston, on the eve of embarking for the West Indies. They had deeded a tract, said to be of 300,000 acres, at ten cents an acre, but on being surveyed, the tract did not come to half that size. Frauds of this order were extremely common.

[7] The new political units continued the colonial practice of restricting the suffrage to taxpayers and owners of property, and none but men of considerable wealth were eligible to public office. Thus the exercise of sovereignty was a matter of economic right, not natural right.

[8] This was the uprising known as Shays's Rebellion, which took place in 1786. The creditor division in Massachusetts had gained control of the political means, and had fortified its control by establishing a constitution which was made to bear so hardly on the agrarian and debtor division that an armed insurrection broke out six years later, led by Daniel Shays, for the purpose of annulling its onerous provisions, and transferring control of the political means to the latter group. This incident affords a striking view in miniature of the State's nature and teleology. The rebellion had a great effect in consolidating the creditor division and giving plausibility to its contention for the establishment of a strong coercive national State. Mr. Jefferson spoke contemptuously of this contention, as "the interested clamours and sophistry of speculating, shaving and banking institutions"; and of the rebellion itself he observed to Mrs. John Adams, whose husband had most to do with drafting the Massachusetts constitution, "I like a little rebellion now and then. . . . The spirit of resistance to government is so valuable that I wish it to be always kept alive. It will often be exercised when wrong, but better so than not to be exercised at all." Writing to another correspondent at the same time, he said earnestly, "God forbid we should ever be twenty years without such a rebellion." Obiter dicta of this nature, scattered here and there in Mr. Jefferson's writings, have the interest of showing how near his instinct led him towards a clear understanding of the State's character.

[9] Professor Sakolski observes that after the Articles of Confederation were supplanted by the constitution, schemes of land-speculation "multiplied with renewed and intensified energy." Naturally so, for as he says, the new scheme of a national State got Strong support from this class of adventurers because they foresaw that rental-values "must be greatly increased by an efficient federal government."

[10] More than half the delegates to the constitutional convention of 1787 were either investors or speculators in the public funds. Probably sixty per cent of the values represented by these securities were fictitious, and were so regarded even by their holders.

[11] It may be observed that at this time the word "national" was a term of obloquy, carrying somewhat the same implications that the word "fascist" carries in some quarters today. Nothing is more interesting than the history of political terms in their relation to the shifting balance of economic advantage - except, perhaps, the history of the partisan movements which they designate, viewed in the same relation.

[12] The obvious reason for this, as the event showed, was that the interests grouped in the first division had the advantage of being relatively compact and easily mobilized. Those in the second division, being chiefly agrarian, were loose and sprawling, communications among them were slow, and mobilization difficult.

[13] They have been noticed by several recent authorities, and are exhibited fully in Mr. Beard's monumental Economic Interpretation of the Constitution of the United States.

[14] Beard, op. cit., p. 337.

[15] The principal measures bearing directly on the distribution of the political means were those drafted by Hamilton for funding and assumption, for a protective tariff, and for a national bank. These gave practically exclusive use of the political means to the classes grouped in the first grand division, the only modes left available to others being patents and copyrights. Mr. Beard discusses these measures with his invariable lucidity and thoroughness, op. cit., ch. VIII. Some observations on them which are perhaps worth reading are contained in my Jefferson, ch. V.

[16] The authority of the Supreme Court was disregarded by Jackson, and overruled by Lincoln, thus converting the mode of the State temporarily from an oligarchy into an autocracy. It is interesting to observe that just such a contingency was foreseen by the framers of the constitution, in particular by Hamilton. They were apparently well aware of the ease with which, in any period of crisis, a quasi-republican mode of the State slips off into executive tyranny. Oddly enough, Mr. Jefferson at one time considered nullifying the Alien and Sedition Acts by executive action, but did not do so. Lincoln overruled the opinion of Chief Justice Taney that suspension of the habeas corpus was unconstitutional, and in consequence the mode of the State was, until 1865, a monocratic military despotism. In fact, from the date of his proclamation of blockade, Lincoln ruled unconstitutionally throughout his term. The doctrine of "reserved powers" was knaved up ex post facto as a justification of his acts, but as far as the intent of the constitution is concemed, it was obviously a pure invention. In fact, a very good case could be made out for the assertion that Lincoln's acts resulted in a permanent radical change in the entire system of constitutional "interpretation" - that since his time "interpretations" have not been interpretations of the constitution, but merely of public policy; or, as our most acute and profound social critic put it, "th' Supreme Court follows th' iliction rayturns." A strict constitutionalist might indeed say that the constitution died in 1861, and one would have to scratch one's head pretty diligently to refute him.

[17] Marshall was appointed by John Adams at the end of his Presidential term, when the interests grouped in the first division were becoming very anxious about the opposition developing against them among the exploited interests. A letter written by Oliver Wolcott to Fisher Ames gives a good idea of where the doctrine of popular sovereignty stood; his reference to military measures is particularly striking. He says, "The steady men in Congress will attempt to extend the judicial department, and I hope that their measures will be very decided. It is impossible in this country to render an army an engine of government; and there is no way to combat the state opposition but by an efficient and extended organization of judges, magistrates, and other civil officers." Marshall's appointment followed, and also the creation of twenty-three new federal judgeships. Marshall's cardinal decisions were made in the cases of Marbury, of Fletcher, of McCulloch, of Dartmouth College, and of Cohens. It is perhaps not generally understood that as the result of Marshall's efforts, the Supreme Court became not only the highest law-interpreting body, but the highest law-making body as well; the precedents established by its decisions have the force of constitutional law. Since 1800, therefore, the actual mode of the State in America is normally that of a small and irresponsible oligarchy! Mr. Jefferson, regarding Marshall quite justly as "a crafty chief judge who sophisticates the law to his mind by the turn of his own reasoning," made in 1821 the very remarkable prophecy that "our government is now taking so steady a course as to show by what road it will pass to destruction, to wit: by consolidation first, and then corruption, its necessary consequence. The engine of consolidation will be the federal judiciary; the other two branches the corrupting and corrupted instruments." Another prophetic comment on the effect of centralization was his remark that "when we must wait for Washington to tell us when to sow and when to reap, we shall soon want bread." A survey of our present political circumstances makes comment on these prophecies superfluous.

[18] He had observed it in the British State some years before, and spoke of it with vivacity. "The nest of office being too small for all of them to cuddle into at once, the contest is eternal which shall crowd the other out. For this purpose they are divided into two parties, the Ins and the Outs." Why he could not see that the same thing was bound to take place in the American State as an effect of causes identical with those which brought it about in the British State, is a puzzle to students. Apparently, however, he did not see it, notwithstanding the sound instinct that made him suspect parties, and always kept him free from party alliances. As he wrote Hopkinson in 1789, "I never submitted the whole system of my opinions to the creed of any party of men whatever, in religion, in philosophy, in politics, or in anything else where I was capable of thinking for myself. Such an addiction is the last degradation of a free and moral agent. If I could not go to heaven but with a party, I would not go there at all."

[19]Jefferson, p. 274. The agrarian-artisan-debtor economic group that elected Mr. Jefferson took title as the Republican party (subsequently renamed Democratic) and the opposing group called itself by the old preconstitutional title of Federalist.

[20] An example, noteworthy only because uncommonly conspicuous, is seen in the behaviour of the Democratic senators in the matter of the tariff on sugar, in Cleveland's second administration. Ever since that incident, one of the Washington newspapers has used the name "Senator Sorghum" in its humorous paragraphs, to designate the typical venal jobholder.

[21] Mr. Jefferson was the first to acknowledge that his purchase of the Louisiana territory was unconstitutional; but it added millions of acres to the sum of agrarian resource, and added an immense amount of prospective voting-strength to agrarian control of the political means, as against control by the financial and commercial interests represented by the Federalist party. Mr. Jefferson justified himself solely on the ground of public policy, an interesting anticipation of Lincoln's self-justification in 1861, for confronting Congress and the country with a like fait accompli - this time, however, executed in behalf of financial and commercial interests as against the agrarian interest.

[22] Henry George made some very keen comment upon the almost incredible degradation that he saw taking place progressively in the personnel of the State's service. It is perhaps most conspicuous in the Presidency and the Senate, though it goes on pari passu elsewhere and throughout. As for the federal House of Representatives and the state legislative bodies, they must be seen to be believed.

[23] Of all the impostor-terms in our political glossary these are perhaps the most flagrantly impudent, and their employment perhaps the most flagitious. We have already seen that nothing remotely resembling democracy has ever existed here; nor yet has anything resembling free competition, for the existence of free competition is obviously incompatible with any exercise of the political means, even the feeblest. For the same reason, no policy of rugged individualism has ever existed; the most that rugged individualism has done to distinguish itself has been by way of running to the State for some form of economic advantage. If the reader has any curiosity about this, let him look up the number of American business enterprises that have made a success unaided by the political means, or the number of fortunes accumulated without such aid. Laissez-faire has become a term of pure opprobrium; those who use it either do not know what it means, or else wilfully pervert it. As for the unparalleled excellences of our civilization, it is perhaps enough to say that the statistics of our insurance-companies now show that four-fifths of our people who have reached the age of sixty-five are supported by their relatives or by some other form of charity.

Chapter 6 Footnotes

[1] Not long ago Professor Laski commented on the prevalence of this enervation among our young people, especially among our student-population. It has several contributing causes, but it is mainly to be accounted for, I think, by the unvarying uniformity of our experience. The State's pretensions have been so invariably extravagant, the disparity between them and its conduct so invariably manifest, that one could hardly expect anything else. Probably the protest against our imperialism in the Pacific and the Caribbean, after the Spanish War, marked the last major effort of an impotent and moribund decency. Mr. Laski's comparisons with student-bodies in England and Europe lose some of their force when it is remembered that the devices of a fixed term and an irresponsible executive render the American State peculiarly insensitive to protest and inaccessible to effective censure. As Mr. Jefferson said, the one resource of impeachment is "not even a scarecrow."

[2] As an example of this overbuilding, at the beginning of the sixteenth century one-fifth of the land of France was owned by the Church; it was held mainly by monastic establishments.

[3] It may be observed, however, that mere use-and-wont interferes with our seeing how egregiously the original structure of the American State, with its system of superimposed jurisdictions and reduplicated functions, was overbuilt. At the present time, a citizen lives under half-a-dozen or more separate overlapping jurisdictions, federal, state, county, township, municipal, borough, school-district, ward, federal district. Nearly all of these have power to tax him directly or indirectly, or both, and as we all know, the only limit to the exercise of this power is what can be safely got by it; and thus we arrive at the principle rather nanvely formulated by the late senator from Utah, and sometimes spoken of ironically as "Smoot's law of government"- the principle, as he put it, that the cost of government tends to increase from year to year, no matter which party is in power. It would be interesting to know the exact distribution of the burden of jobholders and mendicant political retainers - for it must not be forgotten that the subsidized "unemployed"are now a permanent body of patronage - among income-receiving citizens. Counting indirect taxes and voluntary contributions as well as direct taxes, it would probably be not far off the mark to say that every two citizens are carrying a third between them.

[4] For example, the basic processes of exchange are necessary, non-political, and as simple as any in the world. The humblest Yankee rustic who swaps eggs for bacon in the country store, or a day's labour for potatoes in a neighbour's field, understands them thoroughly, and manages them competently. Their formula is: goods or services in return for goods or services. There is not, never has been, and never will be, a single transaction anywhere in the realm of "business"- no matter what its magnitude or apparent complexity - that is not directly reducible to this formula. For convenience in facilitating exchange, however, money was introduced; and money is a complication, and so are the other evidences of debt, such as cheques, drafts, notes, bills, bonds, stock-certificates, which were introduced for the same reason. These complications were found to be exploitable; and the consequent number and range of State interventions to "regulate"and "supervise"their exploitation appear to be without end.

[5] It is one of the most extraordinary things in the world, that the interests which abhor and dread collectivism are the ones which have most eagerly urged on the State to take each one of the successive single steps that lead directly to collectivism. Who urged it on to form the Federal Trade Commission; to expand the Department of Commerce; to form the Interstate Commerce Commission and the Federal Farm Board; to pass the Anti-trust Acts; to build highways, dig out waterways, provide airway services, subsidize shipping? If these steps do not tend straight to collectivism, just which way do they tend? Furthermore, when the interests which encouraged the State to take them are horrified by the apparition of communism and the Red menace, just what are their protestations worth?

[6] The text of the Senate's proposed banking law, published on the first of July, 1935, almost exactly filled four pages of the Wall Street Journal! Really now - now really - can any conceivable absurdity surpass that?

[7] As here in 1932, in Italy, Germany and Russia latterly, in France after the collapse of the Directory, in Rome after the death of Pertinax, and so on.

[8] Ignorance has no assignable limits; yet when one hears our railway-companies cited as specimens of rugged individualism, one is put to it to say whether the speaker's sanity should be questioned, or his integrity. Our transcontinental companies, in particular, are hardly to be called railway-companies, since transportation was purely incidental to their true business, which was that of land-jobbing and subsidy-hunting. I remember seeing the statement a few years ago - I do not vouch for it, but it can not be far off the fact - that at the time of writing, the current cash value of the political means allotted to the Northern Pacific Company would enable it to build four transcontinental lines, and in addition, to build a fleet of ships and maintain it in around-the-world service. If this sort of thing represents rugged individualism, let future lexicographers make the most of it.

[9] A farmer, properly speaking, is a freeholder who directs his operations, first, towards making his family, as far as possible, an independent unit, economically self-contained. What he produces over and above this requirement he converts into a cash crop. There is a second type of agriculturist, who is not a farmer, but a manufacturer, as much so as one who makes woolen or cotton textiles or leather shoes. He raises one crop only - milk, corn, wheat, cotton, or whatever it may be - which is wholly a cash crop; and if the market for his particular commodity goes down below cost of production, he is in the same bad luck as the motor-car maker or shoemaker or pantsmaker who turns out more of his special kind of goods than the market will bear. His family is not independent; he buys everything his household uses; his children can not live on cotton or milk or corn, any more than the shoe-manufacturer's children can live on shoes. There is still to be distinguished a third type, who carries on agriculture as a sort of taxpaying subsidiary to speculation in agricultural land-values. It is the last two classes who chiefly clamour for intervention, and they are often, indeed, in a bad way; but it is not farming that puts them there.

[10] The very limit of particularity in this course of coercive intervention seems to have been reached, according to press-reports, in the state of Wisconsin. On 31 May, the report is, Governor La Follette signed a bill requiring all public eating-places to serve two-thirds of an ounce of Wisconsin-made cheese and two-thirds of an ounce of Wisconsin-made butter with every meal costing more than twenty-four cents. To match this for particularity one would pretty well have to go back to some of the British Trade Acts of the eighteenth century, and it would be hard to find an exact match, even there. If this passes muster under the "due process of law"clause - whether the eating-house pays for these supplies or passes their cost along to the consumer - one can see nothing to prevent the legislature of New York, say, from requiring each citizen to buy annually two hats made by Knox, and two suits made by Finchley.

[11] Admitting that the lamb in the fable had no other recourse than the wolf, one may none the less see that its appeal to the wolf was a waste of breath.

[12] This is now so well understood that no one goes to a court for justice; he goes for gain or revenge. It is interesting to observe that some philosophers of law now say that law has no relation to justice, and is not meant to have any such relation. In their view, law represents only a progressive registration of the ways in which experience leads us to believe that society can best get along. One might hesitate a long time about accepting their notion of what law is, but one must appreciate their candid affirmation of what it is not.

[13] This resentment is very remarkable. In spite of our failure with one conspicuously ambitious experiment in State intervention, I dare say there would still be great resentment against Professor Sumner's ill-famed remark that when people talked tearfully about "the poor drunkard lying in the gutter,"it seemed never to occur to them that the gutter might be quite the right place for him to lie; or against the bishop of Peterborough's declaration that he would rather see England free than sober. Yet both these remarks merely recognize the great truth which experience forces on our notice every day, that attempts to interfere with the natural order of things are bound, in one way or another, to turn out for the worse.

[14] The horrors of England's industrial life in the last century furnish a standing brief for addicts of positive intervention. Child-labour and woman-labour in the mills and mines; Coketown and Mr. Bounderby; starvation wages; killing hours; vile and hazardous conditions of labour; coffin ships officered by ruffians - all these are glibly charged off by reformers and publicists to a regime of rugged individualism, unrestrained competition, and laissez-faire. This is an absurdity on its face, for no such regime ever existed in England. They were due to the State's primary intervention whereby the population of England was expropriated from the land; due to the State's removal of the land from competition with industry for labour. Nor did the factory system and the "industrial revolution"have the least thing to do with creating those hordes of miserable beings. When the factory system came in, those hordes were already there, expropriated, and they went into the mills for whatever Mr. Gradgrind and Mr. Plugson of Undershot would give them, because they had no choice but to beg, steal or starve. Their misery and degradation did not lie at the door of individualism; they lay nowhere but at the door of the State. Adam Smith's economics are not the economics of individualism; they are the economics of landowners and mill-owners. Our zealots of positive intervention would do well to read the history of the Enclosures Acts and the work of the Hammonds, and see what they can make of them.

[15] When Sir Robert Peel proposed to organize the police force of London, Englishmen said openly that half a dozen throats cut in Whitechapel every year would be a cheap price to pay for keeping such an instrument of potential tyranny out of the State's hands. We are all beginning to realize now that there is a great deal to be said for that view of the matter.